Withholding Tax Fields 

When you enter a document, there are three fields that are significant for withholding tax:

You use the system settings to determine whether these fields appear when you enter business transactions. You specify this information at three separate levels:

If, when entering an invoice, you make no entry in the fields for the withholding tax base and the tax-exempt amount, the system calculates these amounts. If the system is supposed to calculate these amounts and you do not want to enter the amounts manually, you must suppress the fields by means of the field status definition in the reconciliation account.

You should not suppress the field for the withholding tax code, as it is needed for entering transaction-related indicators when making postings.